Known as the 'Kaiser', the German word for emperor, for his elegant and commanding playing style, the statue is the latest in a series of honours for Beckenbauer, who died in January 2024 aged 78.
The statue depicts Beckenbauer looking ahead with his right foot on the ball.
It is a characteristic pose in his typical 'Libero' position behind the defence which the Munich-born footballer is widely credited with reinventing during the 1970s.
Beckenbauer won the Bundesliga and the World Cup as both a player and a manager, along with lifting the European Cup, the precursor to today's Champions League, three times from 1974-1976.
"Standing here today, unveiling the statue and seeing how many people have come along is a moving moment," Bayern president Herbert Hainer said.
"I had become very good friends with Franz Beckenbauer over the past few years. We all miss him – not just as a footballer, but above all as a person."
Beckenbauer's red Bayern no. 5 jersey has also been painted into the Allianz Arena rafters, while the street leading up to the stadium has been renamed Franz Beckenbauer Place.
The German Super Cup, a pre-season match featuring the league and cup winners, was renamed the Franz Beckenbauer Super Cup ahead of this campaign.
Opening in 2005, the Allianz Arena was planned and built under the leadership of Beckenbauer along with long-time Bayern powerbrokers Uli Hoeness and Karl-Heinz Rummenigge, both of whom were present on Friday.
The statue is the second to be erected on the esplanade outside the 75,000-seat stadium, after former Bayern and Germany striker Gerd Mueller.
Munich mayor Dieter Reiter said the statue was "the highest honour the city can bestow on someone posthumously".
Beckenbauer won the Ballon d'Or twice, in 1972 and 1976, making him the only defender in history to win the award on two or more occasions.
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